The International Monetary Fund (IMF) has cautioned Ghana that despite progress made in the energy sector, challenges remain in transforming the sector from a source of fiscal risks to a driver of inclusive growth. According to the Fund, the energy sector shortfall remains sizeable estimated at US$1.1 billion in 2026, reflecting high collection and distribution losses and costly generation contracts with capacity charges and “take-or-pay” clauses. Institutional gaps (e.g., uneven enforcement of tariff adjustments and CWM [Cash Water Mechanism] guidelines) persist, leaving the sector prone to slippages, especially during electoral periods”. In addition, the government secured savings from the renegotiation of Independent Power Producers Power Purchase Agreements (PPAs) and legacy debt. As a result, the stock of net payables to IPPs and fuel suppliers fell to US$1.7 billion at end-March 2026, from US$2.1 billion at end-2024.